TOKYO, March 10, 2016 – Ajinomoto Co., Inc. (“Ajinomoto Co.”) will restart packaging and sales of umami seasoning AJI-NO-MOTO ® in Myanmar. In February 2016, Ajinomoto Co. established a new company in the Thilawa Special Economic Zone in the Yangon Region. Ajinomoto Co. plans to build a packaging plant and begin packaging and sales of AJI-NO-MOTO ®in September 2017. The new company, Myanmar Ajinomoto Foods CO., LTD., has capital of USD 10 million (approximately JPY 1.2 billion).
In 1996, Ajinomoto Co. established Myanmar Ajinomoto Industry Co., Ltd. in Yangon to package and sell AJI-NO-MOTO ®, but due to changes in business conditions, the company suspended business activities in April 2000. In light of progress in Myanmar’s policy of opening up its economy since 2011, exports of AJI-NO-MOTO ® from Ajinomoto Co., (Thailand) Ltd. for sale in Myanmar began in 2012. However, as a result of the Special Economic Zone Law enforced in February 2014 and instructions of the Thilawa Special Economic Zone in the Yangon Region enforced in May 2015, Ajinomoto Co. has been making preparations in the hopes of restarting business in Myanmar.
Myanmar has a population of approximately 51 million and a GDP growth rate of approximately 7.7% (Japan External Trade Organization estimate for 2014), with high economic growth forecast to continue. With annual umami seasoning consumption of approximately 52,000 tons (a year-on-year increase of 2%; Ajinomoto Co. estimate for fiscal 2014) , Myanmar is a highly promising market in the ASEAN region with a market scale following Indonesia, Vietnam and Thailand. Umami seasoning is widely used in home-cooked dishes in Myanmar, mainly for stewed and boiled foods.
Backed by these regulatory changes and the market situation, Ajinomoto Co. decided to establish a new company in the Thilawa Special Economic Zone to package and sell AJI-NO-MOTO ®. The new company will start construction of a packaging plant in October 2016 and begin sales in the two cities of Yangon and Mandalay upon the plant’s completion in September 2017. The company will expand its sales area with the intention of covering all of Myanmar in the future. By leveraging the direct cash sales expertise the Ajinomoto Group has established in the ASEAN region and strengthening marketing activities, the new company aims for approximately JPY 3.0 billion in net sales by fiscal 2020.
In its FY2014-2016 Medium-Term Management Plan, the Ajinomoto Group positions the ASEAN region as a major growth driver. By establishing a company in Myanmar, one of the ASEAN countries contributing to this growth, it aims to conduct locally rooted business activities to further expand its business scale. The Ajinomoto Group aims to be a genuine global specialty company that contributes to well-being through providing more delicious, higher-quality products adapted to local food cultures and customs.
Overview of Myanmar Ajinomoto Foods CO., LTD.
About Ajinomoto Co.
Ajinomoto Co. is a global manufacturer of high-quality seasonings, processed foods, beverages, amino acids, pharmaceuticals and specialty chemicals. For many decades Ajinomoto Co. has contributed to food culture and human health through wide-ranging application of amino acid technologies. Today, the company is becoming increasingly involved with solutions for improved food resources, human health and global sustainability. Founded in 1909 and now operating in 26 countries and regions, Ajinomoto Co. had net sales of JPY 1,006.6 billion (USD 9.17 billion) in fiscal 2014. For more about Ajinomoto Co. (TYO: 2802), visit www.ajinomoto.com.
For further information, please contact here.
|
|||||||||||||||||||||
| CLOSE |
